Asustek warns of lower netbook sales due to iPad

Speaking at a recent investors conference, Asustek Computer CEO Jerry Shen said that the company’s sales of netbook computers fell short of expectations in the second quarter, mainly due to competition from the Apple iPad. DigiTimes reports that Shen also said the company has lowered its targets shipments for the third quarter—traditionally its peak sales period—to 1.4 million units due to the increased competition. Asustek plans to enter the tablet PC market later this year with a Linux-powered, 8.9-inch “Eee Note” tablet, followed by a 12-inch Windows-based “Eee Pad” tablet in late 2010/early 2011, and a 10-inch tablet running Google’s Android OS in March 2011.

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